Asian Hedge Funds' Returns Top U.S., Europe Counterparts

Industry Is on the Upswing but Remains Small Relative to Other Regions

Asia's hedge-fund industry is on the upswing, attracting more money this year than in any year since the global financial crisis and beating returns in the U.S. and Europe.

Net inflows of $14.4 billion in the nine months ended Sept. 30 brought total assets under management in Asia to $140.8 billion, according to data provider Eurekahedge Pte. Ltd. Asia's hedge-fund industry, while still small compared with those of North America and Europe, is closer to the peak of $176 billion reached in 2007 than it has been in the last...